Programme Syllabus
2012-05-10
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Programme code: RMV20
Bachelor’s Programme in Analytical Finance, 180 credits
This programme syllabus is valid for programmes given after 1 July 2012.
This is a translation of the original programme syllabus in Swedish, which was ratified by the
Faculty Board’s Education Committee for Engineering on 20 January 2012 and thereafter
revised on 10 May 2012.
Objectives
The Degree Programme in Analytical Finance will satisfy the growing need of scientifically
educated personnel within the finance sector. The Analytical Finance programme aims to
give the programme students a good basis for work, directed towards the development of
pricing of derivatives, and the testing of risk management models, as risk analysts,
quantitative analysts or asset managers.
Knowledge and understanding
On completion of the degree programme, independently of the main field of study, the
student shall be able to:
- account for basic concepts and principles in basic higher education Mathematics,
including algebra, differential calculus, probability theory and statistical theory and apply
this knowledge in problem-solving,
- account for and apply basic concepts, principles and models in micro- and
macroeconomics,
- account for and apply basic concepts, principles and models in marketing and
organisation theory, and also
- account for and apply basic concepts and principles concerning bookkeeping and
marketing as tools for decision-making.
On completion of the degree programme, with Mathematics/Applied Mathematics as the
main field of study, the student shall be able to:
- demonstrate understanding of, and the ability to apply, basic theorems in differential
calculus, linear algebra, probability theory and statistical theory,
- demonstrate understanding of, and the ability to explain, some of the mathematical
models used in financial engineering and portfolio theory along with the assumptions and
limitations of the models, and also
- understand theories and methods of linear programming and operations research.
On completion of the degree programme, with Business Administration as the main field of
study, the student shall be able to:
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- demonstrate deeper knowledge of both classical and contemporary business
administration research within a chosen area.
On completion of the degree programme, with Economics as the main field of study, the
student shall be able to:
- demonstrate deeper knowledge within a chosen area of economics. Included in this is
knowledge of current research.
Skills and abilities
On completion of the degree programme, independently of the main field of study, the
student shall be able to:
- use his/her knowledge and understanding of basic concepts, theories and principles in
mathematics, economics, and business administration for problem-solving in finance,
bookkeeping, marketing and organisation,
- give clear and correct, with regard to both language and content, customised oral and
written presentations in English,
- cooperate successfully in groups by contributing with facts and ideas which lead to a good
result of the group’s work,
- communicate effectively in accordance with the accepted academic norms of the
programme’s field of study and write both detailed and well-structured reports, and also
- work independently and, with a minimum of supervision, identify important problem
areas in business and financial operations and also by observing given frameworks, use
correct tools and methods for solving the problems.
On completion of the degree programme, with Mathematics/Applied Mathematics as the
main field of study, the student shall be able to:
- transfer financial and economic problems described in non-mathematical terms to
mathematical terms and use this transfer to solve the problems,
- construct and develop logical mathematical arguments so that assumptions and
conclusions are clearly shown,
- use calculation programmes as aids for mathematical processes and for information
retrieval and also have a basic knowledge of programming languages and software of
importance to the finance branch, and also
- produce qualitative information from quantitative data with the aid of statistical methods
and software.
Critical judgement and approach
On completion of the degree programme, independently of the main field of study the
student shall be able to:
- demonstrate the ability to evaluate his/her own strengths and weaknesses, question
opinions and develop his/her own assessments and evaluations,
- demonstrate the ability to make his/her own assessments within the economics field,
taking into account relevant scientific, social and ethical aspects,
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- demonstrate the capacity for quantitative thinking, i.e. be able to make calculations
without the aid of pocket calculators and also be able to judge whether a result is
reasonable or not, and also
- demonstrate the ability to assess situations which can arise in business and financial
operations and take into account scientific, social and ethical aspects.
Language of instruction
The language of instruction is English, which includes all teaching, examination and
literature, etc.
Specific entry requirements
Studies in Mathematics of a minimum of three years from upper secondary school with a
Science profile, and a TOEFL test result, with a minimum score of 575 with a TWE score of at
least 4.5 (PBT) or 90 with a TWE score of at least 20 (iBT) or an IELTS test result with an
overall band score of at least 6.5 and no band score below 5.5 or equivalent. Since the
programme is given entirely in English, Mälardalen University will exempt students from the
requirements of Swedish language proficiency.
Selection
Selection by grades 60%, by the Swedish Scholastic Aptitude Test 40%.
Course content
Analytical Finance is a three-year degree programme which offers a basis in Mathematics,
Business Administration and Economics. The focus of the programme is placed on real
problems in working life in business and public financial activities, and the literature has
been chosen to support this specialisation. Advanced financial software is used in the
teaching.
The programme consists of courses divided into semesters as indicated below.
Semester 1
Semester 2
Mathematics/Applied Mathematics
Mathematics for Economics and Business, 7.5 credits
Algebra, 7.5 credits
Mathematics/Applied Mathematics
Calculus I, 7.5 credits
1
Introduction to Financial Mathematics , 7.5 credits
Business Administration
Financial Accounting, 7.5 credits
Cost and Management Accounting, 7.5 credits
Economics
Microeconomics, 7.5 credits
Environmental Economics, 7.5 credits
1
Also classified as Economics.
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Semester 3
Mathematics/Applied Mathematics
Calculus II, 7.5 credits
Probability Theory, 7.5 credits
Business Administration
Marketing Basics, 7.5 credits
Organisation Basics, 7.5 credits
Semester 4
Alternatives 1 and 3
Mathematics/Applied Mathematics
Numerical Methods with MATLAB, 7.5 credits
Methods of Statistical Inference, 7.5 credits
Economics
International Economics, 7.5 credits
Macroeconomics, 7.5 credits
Alternative 2
Business Administration
Marketing and IT, 7.5 credits
Service Management, 7.5 credits
Cost and Management Accounting II, 7.5 credits
Intermediate Financial Accounting, 7.5 credits
Semester 5
Alternative 1
Mathematics/Applied Mathematics
Analytical Finance with MATLAB, 7.5 credits
Stochastic Processes, 7.5 credits
2
Portfolio Theory I , 7.5 credits
Applied Matrix Analysis, 7.5 credits
Alternative 2
Business Administration
Nordic Perspectives on Marketing and Management,
15 credits
Bachelor’s Essay in Business Administration, 15
credits
Economics
3
Finance , 7.5 credits
Alternative 3
Elective 30 credits
Mathematics/Applied Mathematics
4
Portfolio Theory I , 7.5 credits
Economics
5
Finance , 7.5 credits
Microeconomics II, 7.5 credits
Econometrics, 7.5 credits
Labour Economics, 7.5 credits
Semester 6
Alternative 1
Mathematics/Applied Mathematics
Degree Project in Mathematics, 15 credits
Elective 15 credits
Operations Research, 7.5 credits
Simulation, 7.5 credits
Time Series Analysis, 7.5 credits
Courses from Alternatives 2-3
Alternative 2
Mathematics/Applied Mathematics
Numerical Methods with MATLAB, 7.5 credits
Methods of Statistical Inference, 7.5 credits
Economics
International Economics, 7.5 credits
Macroeconomics, 7.5 credits
Alternative 3
Economics
Microeconomic Theory II, 7.5 credits
6
Engineering and Management , 7.5 credits
Bachelor’s Essay in Economics, 15 credits
Also classified as Business Administration and Economics.
Also classified as Business Administration.
4 Also classified as Business Administration and Economics.
5 Also classified as Business Administration.
6 Also classified as Business Administration.
2
3
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Choices within the programme
After three semesters of study the students can choose:
to study a further 30-60 credits in Mathematics/Applied Mathematics to be able to take
a Bachelor’s degree with Mathematics/Applied Mathematics as a main subject and with
Financial Engineering as a specialisation, or
to study further courses in Economics or Business Administration.
Host School
The School of Education, Culture and Communication is the host School for Analytical
Finance.
Degree
The degree programme is so designed that the studies will lead towards fulfilment of the
requirements for at least one of the following degrees:
Bachelor of Science in Mathematics/Applied Mathematics with Specialization in
Financial Engineering.
The examination requirements for this degree are fulfilled if the studies are completed according to
semesters 1-3 along with Alternative 1 for semesters 4-6 in the table above.
-
Bachelor of Social Science in Business Administration.
The examination requirements for this degree are fulfilled if the studies are completed according to
semesters 1-3 along with Alternative 2 for semesters 4-6 in the table above.
-
Bachelor of Social Science in Economics.
The examination requirements for this degree are fulfilled if the studies are completed according to
semesters 1-3 along with Alternative 3 for semesters 4-6 in the table above.
If the programme contains elective or optional components, or if a student chooses not to
complete a certain course, the choices made can affect the possibility of fulfilling the degree
requirements. For more information about degrees and degree requirements, consult the
local degree regulations which are published on the University website.
Quality Assurance
Every course is evaluated by participating students. The results of the evaluations are
discussed in the Programme Council. The course evaluations play an important part in the
quality assurance of the courses and of the programme.
Student Participation
Student representatives from the programme, together with teacher representatives, form a
Programme Council which meets 3-4 times annually to discuss programme-related questions
and the students’ course evaluations. The purpose of the Programme Council is that the
students shall be able to influence the development of the programme. At least two students
participate in the work of developing courses and planning the teaching.
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Research Basis
The programme has a broad research basis within the main field of study of
Mathematics/Applied Mathematics and is linked to two of the prioritised research profiles at
Mälardalen University: Sustainable Development, Working Life and Management, and
Environment, Energy and Resource Optimization. For example optimisation of trade, within
the framework of the programme’s courses, is treated with what is known as energy
derivatives. Such optimisation contributes towards savings within the energy sector and
thereby towards a favourable development of the climate. Further, several of the
programme’s courses have a specialisation in Mathematical Statistics, Economics and
Business Administration, subjects which are central in the research profile of Sustainable
Development, Working Life and Management.
The programme cooperates actively with companies and the surrounding community, and
several teachers in the programme are active in research and development in business.
Also related to the programme is the Master’s programme in Financial Engineering and
third-cycle courses and study programmes in Mathematics/Applied Mathematics.
Third Stream Mission
The combination of mathematics, economics and business administration makes Analytical
Finance a unique programme. It is internationally oriented and graduates can work both in
Sweden and abroad. The financial crisis which culminated during 2009 has made the
programme particularly topical, since the need of skilled analysts will increase among
operators on the financial market. Our researchers are constructing new methods for
solutions to current problems in financial engineering and are developing software which
realises these methods. Unique courses have been developed for the programme, such as
Analytical Finance with MATLAB, in which the students learn to develop software with
embedded modules for solutions to many important financial and economic problems. No
other higher education institution in Sweden has any corresponding course.
The programme is designed to give the students the theoretical tools which will give them
good opportunities to gain employment in banks, insurance companies and government
authorities.
Internationalisation
Mälardalen University has for a long time considered internationalisation to be one of the
most important factors ensuring that education and research maintain good quality. As a
student it is good to be exposed to international features during the study period. This
contributes towards increasing competence and understanding, both very important qualities
in today’s labour market. A student choosing assignments with an international profile or
taking part in the Student Union’s mentoring work can contribute just as much as a stay
abroad. Intercultural competence is really important regardless of whether future
employment is in Sweden or anywhere else in the world.
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The students can participate in Mälardalen University’s international student exchange
programme and transfer an extended period of their studies to one of the University’s partner
universities.
Equality
Mälardalen University recruits teachers and students from different countries with different
social backgrounds, skin colour, ethnic and cultural origin, religious belief, disability or
sexual orientation. The School’s work with equality and equal opportunities issues should be
well known to students. The students should have the knowledge that there is an action plan
for equality and equal opportunities issues. Diversity aspects are taken into account when
developing the pedagogical work at the School. The relationship between staff and students is
characterised by an approach marked by democratic values and the right to be different.
Teaching
Teaching on the programme consists of lectures, problem-solving lessons and seminars.
During the lectures the teacher gives a short introduction to the following part of the course.
During the problem-solving lesson the students, under the guidance of the teacher, solve
commensurate problems. During these lessons, small groups of students can also present
their solutions. The seminars are prepared by the students, in groups, selecting a relevant
subject and in groups write a report on the subject, which is presented at the seminar. The
student is expected to set aside non-scheduled time for group work and individual study.
The courses are examined both by written final examinations and continually during the
progress of the course, in the form of, for example, seminar reports, problem-solving
assignments and written tests of knowledge. Three different types of examination methods
are employed: portfolio examination, seminar examination and written examination. To pass
the portfolio examination the student hands in the answers to the assigned problem-solving
exercises to the teacher. To pass the seminar assignment the student will write a report and
orally present this at the seminar. Written tests of knowledge during the progress of the
course can occur.